China: Mercedes-Benz establishes Travel brand image

Mercedes-Benz announced during a press conference in Shanghai the establishment of the “Mercedes-Benz Travel” brand through an exclusive partnership with HH Travel, the high-end travel brand of Ctrip International.

The move marks Mercedes-Benz’s official entry into the Chinese premium outbound travel market as the first automaker to offer travel solutions together with a dedicated cooperation partner in the Greater China region.

Mercedes-Benz Travel is positioning itself as providing specially-engineered travel design, high quality of trips and unique Mercedes-Benz highlights. Itineraries will only be announced next month, but Mercedes-Benz Travel promises to introduce products for Chinese sophisticated premium travel customers which combine carefully selected locations with a well-balanced itinerary featuring regional, theme-based and event trips with a focus on Europe as the main destination, including special topics such as ladies-only trips, summer camps, and education trips, as well as German engineering trips for the technically-minded, including visits to the Mercedes-Benz Museum in Stuttgart.

Through the establishment of Mercedes-Benz Travel, Mercedes-Benz is adding another dimension to the brand in China, which is meant to underline that it also embodies diversified and passionate lifestyles, which are in China more often associated with its German rivals BMW and Audi. China is the starting market to enter the travel industry for Mercedes-Benz but if the initiative proves to be successful, the concept could be extended to other tourism source markets.

Mercedes-Benz is among the first non-tourism brands, which try to leverage their brand value for the profitable luxury tourism market in China in a systematic way. In a country with only very few distinctive tour operator brands, dominated by large state-owned companies, which offer almost identical products and compete mainly on price, this might not be a bad business plan. Mercedes-Benz only has to convince Chinese affluent travelers that good carmakers can also be good travel service provider.

Via Forbes